America’s Over-Dependency on Asia

September 7th, 2011 by admin No comments »

At least the federal government is going to be getting America out of its latest pickle.  At the beginning of October it promise that credit would continue to flow through the country’s mortgage system that is not faring so well.  This move occurred with the fed government’s support of Fannie Mae and Freddie Mac which led to renewed concerns about just what poor shape the country’s economy is in and questioned if it has become way too reliant on the investments of regions such as Asia.

Of course, it’s been known for a long time that Asia is a more stable investment region than the States.  Individuals and large corporations like Wal-Mart and Yum Brands have recognized this fact for a long time already and have been making substantial investments throughout the region, mainly in China since that country seems to have way greater potential than the United States of America.  But if US companies keep looking outside for success, America will never recover. And then it becomes a bit of a chicken and egg situation.

America is currently very reliant on Asia for its economic failure.  But while the region has been bailing her out, the real way for America to become independent again is to do just that – stop being so reliant on other regions and start investing in its own.

 

The Rise of Asia

August 23rd, 2010 by admin No comments »

The stock market in Asia – Pacific region is unique in the world to keep green in most of the trading week , except week session key swing by the action from Europe and America .

As of the week , the index MSCI Asia – Pacific increased 0.4 % to 118.29 points , after declining 3.7 % in the previous week. Index is down 8.4 % from the peak years of the date 15/04/2010 . Shanghai ‘s Composite Index of China increased 1.4 % . Nikkei 225 down 0.8 % in Japan . South Korea ‘s Kospi rose 1.7 % .

Although Japanese economic decline in the second quarter , but the opportunities to create momentum for China ahead . According to data released Tuesday by the Japanese 16 / 8 , the total domestic product ( GDP ) of Japan is 1286 billion dollars , lower than the figure of 1335 billion U.S. dollars in China.

Along with the change of his two economies Japan, China , a number of countries and territories in Asia last week has emerged stronger . Central Bank of Malaysia , Zeti Akhtar Aziz said the country’s economy grew 8.9 % in quarter 2 / 2010 over the same period last year and expected to grow 6 % in 2010.

But according to the statistical offices of Taiwan (China ) , GDP quarterly 2 / 2010 of the area has grown 12.53 % over the same period last year . Quarter 1 / 2010 , the rate of economic growth in Taiwan reached 13.71 % . Taiwan ‘s exports could grow more than 30 % this year .

Thai Prime Minister Abhisit Vejjajiva Monday 20 / 8 expressed confidence that the export sector will help boost gross domestic product ( GDP ) this year of at least 7 % . Mr. Abhisit said Thai economic growth of 10% in first 6 months of 2010 primarily due to strong export growth .

Quarter 2 / 2010 , European economic growth 1 % quarter U.S. economic growth 1 / 2010 the first published data is 2.4 % and could be adjusted downward to 1.4 % last week , can assert Asian economic growth will be the first ship of the global economy in 2010 .

Britain’s Telegraph newspaper recently described a series of statistical data was very positive about the growth of the Southeast Asian country . Accordingly, in 2010, Singapore will achieve economic growth record of 15 % , 7 % followed by Malaysia , Indonesia, Philippines 6.6 % and 6 % .

The newspaper said that following the global economic downturn 2008-2009 , some Southeast Asian countries have recovered quickly . This area is becoming attractive investment in the context of Vietnam and Thailand is rising next to the economy is considered development in the region such as Singapore .

According to the newspaper , the national investment funds and individual investors now want to choose Asia and Southeast Asia to increase investment by the ability to achieve high profits . Last year, Fidelity Investment Fund has spent 25% of investment in Southeast Asia , while Aberdeen and First State Fund respectively for 35 % and 25 % investment in the region.

Meanwhile, today 19 / 8 , the Asian Development Bank ( ADB ) has published a report said the middle class (the consumers from U.S. $ 2-30 per day ) of the rapidly expanding Asia will be able to act as leading consumer and help re- balance the economy .

This report is in a special edition of the main indicators for Asia and the Asia – Pacific 2010 . Accordingly, studies show that Asian consumers consumption around 4300 billion dollars , equivalent to one third of the consumption of industrialized countries ( OECD ) .

Japan’s MUFG bank buys China stake in BNP Paribas

August 12th, 2010 by admin No comments »

MUFGThe largest Japanese bank, Mitsubishi UFJ Financial Group (MUFG), has secured access to the apparently promising Chinese mutual fund market. As rumored on Monday ininvestment circles, Mitsubishi UFJ Financial Group (MUFG) is set to take over the share of French BNP Paribas in its Chinese joint venture, SYWG BNP Paribas. The price for the 33 percent stake amounts to 50 million dollars (38.4 million euros), said in verhandlungsnahen circles.

The French bank has to follow existing laws and Chinese law separate from the share, as foreign investors may be present only through a single joint venture in China. Remaining after a BNP Paribas sell nor a joint venture with Fortis Haitong a market share around two percent.

Mitsubishi UFJ Financial Group (MUFG) would thereby entering the Chinese market created for investment funds, whose volume is estimated at 300 billion dollars. The bank reported to have sat through against about a dozen rivals, including the Japanese bank Nomura Holdings, the London-based Ashmore Group. More than 30 foreign financial firms, including JPMorgan and Credit Suisse, based in China joint venture.

Business investment increased by 1.1 percent in Hokkaido

August 3rd, 2010 by admin No comments »

The Hokkaido branch of the Bank of Japan said yesterday, the amount of capital investment in Hokkaido in 2010 increased 1.1 percent . Increased in two areas in particular: Food Manufacturing and Steel.

Food Manufacturing increased19.4% over the previous year with a 1178 billion yen forecast . Steel rose 22.9 percent. The investment continues to remain high for a nuclear -related materials connect to Steel Works .

As expected non-manufacturing industries decreased by 5.7% 2517 million yen . The development of the New Chitose Airport International Terminal finished another investment round, yet there was another 29 % decline in real estate.

Agricultural Bank of China listed A shares to secure this issue price

July 15th, 2010 by admin No comments »

Agricultural Bank of China A + H shares will be listed in the Shanghai and Hong Kong listing for 15 and 16 days. Investors were worried that stocks were listed below their market value on the first day that the Agricultural Bank issued the price. Head of the office Sheng Chuannong urged investors not to hurry to sell .

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South Korea, foreign investment restrictions on the OECD 6

July 5th, 2010 by admin No comments »

FDI regulations published by the OECD 2010 index according to Iceland to South Korea 0.142 ( 0.430 ), Mexico ( 0.264 ) New Zealand ( 0.263 ), Japan ( .241 ) , Canada ( 0.153 ) followed by six ranks . Index of FDI restrictions on foreign direct investment and related institutions are broken down into four categories to produce Rate 0-1 , closer to 1 means a high number of regulatory intensity .

Korea’s FDI regulatory restrictions stock index sectors, look at the highest executive of the 0.139 0.001 nationality restrictions , regulations and other companies operating in the 0.002 each.

Among OECD members Luxembourg NetherlandsFDI restrictions index is just a fact of 0.004 does not limit foreign investment were reported . Following Portugal ( 0.006 ) , Belgium ( .016 ) , Spain ( 0.019 ) Germany( 0.025 ), Finland ( 0.040 ), Slovakia ( 0.049 ) was followed by regulatory strength .

Iljin Diamond, 10 Billion Investment for Expansion

June 29th, 2010 by admin No comments »

Iljin Diamond LED and Solar Cutting lines and industrial boards plan to invest 100 billion yuan in the next year .

The recent global economic recovery , coupled with growth in the LED and solar industries are increasing the demand for new investment decisions and judgments , they said. Solar LED substrate side and the actual cutting Iljin powder fields sales were 7 billion up from 700 million last year. This year it was increased 10 times to 200 billion .

A company official  said, ” The board affirmed an investment in precision material cutting products and cutting powder and the high value-added products. ” He said ” less than 20% by the end of the scale of the value-added product sales will increase by 40 percent , ” he said.

Mahindra Heads To Space

June 27th, 2010 by admin No comments »

Anand Mahindra Vehicle manufacturer Mahindra has announced their leaping into space.An initial investment of Rs 250 crore is planned .

Mahindra Group Vice President and Managing Director Anand Mahindra told reporters here during a program ,” We manufacture equipment in the business of 150 crores and the aircraft are investing Rs 100 crore.” He said, ” huge opportunities exist in space and it is a growing area .  The area has unlimited opportunities . ”  He said, ” Mahindra is going to make it a new frontier .”

Mahindra is putting its weight behind their space investment for the next two to three years and expects to expand.  Already Anand Mahindra has lined up agreements with foreign companies and investors.

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Interest Rates, Selective Credit Control Unit, Room for fear? Fai-Nan Perng: Do the right thing

June 24th, 2010 by admin No comments »

Taiwan – Contrary to expectations, the central bank of Taiwan raised interest rates, and adopted selective control over the housing market  due to issues with stock markets, raised fears of terrorism , and the collapsing housing market. In this regard, the central bank president Fai-Nan Perng stressed that ” the central bank needs to do the right thing ” and stressed ” this is a very very relaxed fine-tuning and will not affect the general mortgage.”

Fai-Nan Perng emphasized the main reason the Central Bank Council decided to raise interest incorporates three major factors. First, continuing global economic recovery , benefit from the emerging countries of Asia and other major trading partners needs to heat up, China’s exports and investment to expand the company and unemployment situation has also gradually improved. This is coupled with a moderate increase in private consumption , making this yearly quarter’s economic growth rate of 13.27% . In addition there has been a  better than expected  economic performance of domestic and foreign institutions that have revised Taiwan’s economic growth forecast this year. In May this year, the Bureau of Statistics reported the economic growth rate to be 4.72% of the original estimate and was revised to 6.14 percent .

Second, with the warming of global demand , pushing up oil and other international raw material market , the domestic retail market prices all reflect the cost increase , from January to May this year, which is the domestic consumer price (CPI) annual growth rate of 1.19%. DGBAS forecast for this year by the CPI annual rate of 1.27% was revised to 1.4%.

Third, since the second half last year , because domestic economy has warmed , the central bank gradually exited its quantitative easing policy allowing bank excess reserve positions to be reduced to normal levels. This has been connected with a gradual increase in the overnight rate , M2 growth target zone annual growth rate back to the middle Value in the vicinity  since April this year.

First half of the 178 foreign enterprises to invest in Hong Kong to create 1,980 job openings

June 23rd, 2010 by admin No comments »

Hong Kong- Since investment has increased heavily in Asia, Hong Kong in the first half significantly increased the amount of foreign investment . Invest Hong Kong announced that the first half of a total of 178 foreign enterprises to invest in Hong Kong or expand their business , not only reached the annual target of 66% , but also the creation of 1980 jobs.

Invest Hong Kong Chief Executive Donald Tsang yesterday  hosted a reception to thank the recent development or expansion of business in Hong Kong enterprises , and about 300 senior officers from different sectors attended . Mr Tsang said Hong Kong 1st quarter of this year’s economic growth rate compared with the same period last year , an increase of 8.2 %, far more than economists expected , also hit 4 -year high . Meanwhile, Hong Kong’s GDP rose 4 consecutive quarters , reflecting the investment promotion agency .

Mr Tsang said that as the tightening of credit funds , and the world ‘s turmoil in the financial crisis , large investment funds transferred to the Asian region and  Hong Kong also benefited .  Invest Hong Kong will control the timing shift of funds , implement a series of measures to improve overall competitiveness , including more countries sign agreement to avoid double taxation , the yuan trade settlement plan , and the advantage  of industry within Hong Kong .

Director of Investment Promotion, Mr Galpin said that the first half of a total of 178 foreign enterprises to invest in Hong Kong has reached full year target of 66% amounting to 3.224 billion Hong Kong dollars , but also for the creation of 1980 jobs.

Mr Galpin said the completion of the first half of this year ‘s investment projects , 39 % from Asia Pacific , 31 % from Europe, North America accounted for 24%. In addition , Invest Hong Kong , India and Russia also have additional professional consultant familiar with the local market to meet the growth BRIC markets .

This year happens to be  the 10 year anniversary of Invest Hong Kong and also  the successful completion of over 2000 projects. Related enterprises investing in Hong Kong have added a total of more than 25,000  Hong Kong  job openings and the total amount of investment in more than 52 billion Hong Kong dollars .